New York-based mill will continue operating through reorganization
Carthage Specialty Paperboard (CSP) Inc., Carthage, New York, has filed for bankruptcy protection after years of setbacks and a failed attempt to sell the company, as reported in the Watertown Daily Times. According to documents filed in U.S. Bankruptcy Court for the Northern District of New York, DeltaPoint Capital Management LLC, Rochester, N.Y., owner of the mill, intends to continue operating the company as it attempts to reorganize under Chapter 11 bankruptcy protection.
"Ultimately, our primary goal is to make sure we sustain this business and set it up for long-term success," Michael Lambert, VP of sales and marketing for Carthage Specialty Paperboard, was quoted in the article, which added that the filing shows that the company has about $31 million in liabilities versus an estimated $14 million in assets.
Lambert said the manufacturer hopes to reopen the plant and bring back its about 80 employees by March 11 or 18. Company management must acquire more raw materials such as fiber and chemicals to reopen the plant, but Lambert said they must receive permission from the court to purchase them. Carthage Specialty Paperboard executives have been trying to find a buyer to purchase the company since last fall.